BAM.A is down almost 33% this year…a massive drawdown. Do you see anything in your outlook for this company that could cause material further deterioration? This has been extremely painful to witness.
BAM has a diversified asset base, and overall valuations of course have taken a bit hit this year. But we don't see anything really specifically unique to it. Some investors worry about a recession and further asset declines, but the company has $110B in capital and will likely be a very active buyer of assets in a recession. It thinks long-term, and many investors are only focused on the bad news 'now'. It is of course not immune to further declines, but it remains one of the companies that we are least worried about right now. (5iResearch)